Business Process MaPping

University of Alberta PeopleSoft Travel & Expenses Implementation

Business Process Mapping Document

Approvals:

Sponsor Signature Date Jody Brookwell, AssocDirDistOp, SMS

Ruth Norwood, Development Manager, AIS

PeopleSoft Billing Implementation Phase 1 Business Process Mapping Document

UofA Travel and Expenses Business Process Mapping v2.2.doc Page 2 Printed: 01/17/03

TABLE OF CONTENTS

Introduction.................................................................................................................................................................................................................. 3 BACKGROUND ............................................................................................................................................................................................................ 3 PURPOSE OF BUSINESS PROCESS MAPPING................................................................................................................................................................ 3

General Approach........................................................................................................................................................................................................ 3 Business Process Maps ................................................................................................................................................................................................ 4

TRAVEL ADVANCE – DEPARTMENTS ......................................................................................................................................................................... 4 TRAVEL ADVANCE - SMS .......................................................................................................................................................................................... 5 TRAVEL EXPENSE CLAIM – DEPARTMENTS (INCLUDING VISITORS) ......................................................................................................................... 6 TRAVEL EXPENSE CLAIM – WITH ADVANCE (ZERO DOLLAR VOUCHER, NO CHEQUE PRODUCED) – SMS (PAGE 1 OF 2)..................................... 7 TRAVEL EXPENSE CLAIM – WITH ADVANCE (ZERO DOLLAR VOUCHER, NO CHEQUE PRODUCED) – SMS (PAGE 2 OF 2) ..................................... 8 TRAVEL EXPENSE CLAIM – WITH ADVANCE (CHEQUE PRODUCED) – SMS (PAGE 1 OF 2)...................................................................................... 9 TRAVEL EXPENSE CLAIM – WITH ADVANCE (CHEQUE PRODUCED) - SMS (PAGE 2 OF 2) .................................................................................... 10 TRAVEL EXPENSE CLAIM – WITHOUT ADVANCE – SMS (PAGE 1 OF 2) ................................................................................................................. 11 TRAVEL EXPENSE CLAIM – WITHOUT ADVANCE – SMS (PAGE 2 OF 2) ................................................................................................................. 12 EXPENSE REIMBURSEMENT – DEPARTMENTS.......................................................................................................................................................... 13 EXPENSE REIMBURSEMENTS – SMS (PAGE 1 OF 2)................................................................................................................................................. 14 EXPENSE REIMBURSEMENTS – SMS (PAGE 2 OF 2)................................................................................................................................................. 15 TRAVEL AUTHORIZATION PAYMENT (TAP) – DEPARTMENTS ................................................................................................................................ 16 TRAVEL AUTHORIZATION PAYMENT (TAP) – PAYMENT & RECONCILIATION – SMS (PAGE 1 OF 2) ................................................................... 17 TRAVEL AUTHORIZATION PAYMENT (TAP) – PAYMENT & RECONCILIATION – SMS (PAGE 2 OF 2) ................................................................... 18 HOTEL AUTHORIZATION PAYMENT (HAP) – DEPARTMENTS.................................................................................................................................. 19 HOTEL AUTHORIZATION PAYMENT (HAP) – SMS (PAGE 1 OF 2)........................................................................................................................... 20 HOTEL AUTHORIZATION PAYMENT (HAP) – SMS (PAGE 2 OF 2)........................................................................................................................... 21 TRAVEL ADVANCE RECONCILIATION ...................................................................................................................................................................... 22 VENDOR SET UP IN SMS .......................................................................................................................................................................................... 23 DEPOSITING CHEQUES WHEN EXPENSE IS LESS THAN ADVANCE - CASHIER ......................................................................................................... 24 TRAVEL ADVANCE SUB-LEDGER SYSTEM (STANDALONE) – SMS ......................................................................................................................... 25 TRAVEL CLAIMS (FOREIGN CURRENCY) – PAYMENT BY WIRE TRANSFER OR BANK DRAFT – FINANCIAL SERVICES (PAGE 1 OF 2) .................. 26 TRAVEL CLAIMS (FOREIGN CURRENCY) – PAYMENT BY WIRE TRANSFER OR BANK DRAFT – FINANCIAL SERVICES (PAGE 2 OF 2) .................. 27 HOW ACCOUNTING ENTRIES ARE CREATED IN AP MODULE (FINANCE) FOR ADVANCES ...................................................................................... 28 ACCOUNTING ENTRIES CREATED IN AP MODULE (FINANCE) FOR PAYMENTS BY WIRE TRANSFER (T ACCOUNTS)............................................. 29



Introduction Background The University of Alberta is implementing the PeopleSoft Travel and Expenses module. This document covers the current processes for travel and expenses at the University prior to the implementation of the PeopleSoft Travel and Expenses module. New Business Process Maps will be designed and delivered as part of the implementation of this module. According to the project plan this implementation will go live by early May 2003 after the upgrade to PeopleSoft Financials 8.4.

Purpose of Business Process Mapping This document will include process flows and narratives for all University travel and expenses business processes. Generally, the purposes for documenting business processes during the analysis stage of an implementation project are:

1. Ensure that all process are accounted for and none are omitted from the implementation

2. Identify any opportunities for improvement such as:

a. Where duplication of effort that can be eliminated,

b. Identify inefficient processes that can be improved or

c. Identify where best practices that can be implemented.

General Approach The project team will interview various University of Alberta staff in order to get a complete picture of the current travel and expenses practices at the University. During these interviews or workshops flowcharts and general narratives will be produced and included in this document. The draft document will be circulated to the various responsible parties and revised accordingly. Once these flowcharts have received sign-off from the various parties, they will be used to determine user requirements that will be used in the Fit/Gap process.



Business Process Maps Module: Expenses Process: Expenses Sub-process ID: BP1 Sub-process: Travel Advance – Departments

Frequency: Daily Weekly Monthly Annually Ad-hoc Version: 7.5

Input Process Output

Traveler completes Advance form

Form is reviewed, copied and filed (copy) by the Central individual

Approved by individual (who is not the traveler) with signing authority on the Account

Advance form is mailed to SMS

Approval:

• If the Budget has been established at the beginning of the year, approval is pre-authorized.

• If additional funding is not required, approval is also pre-authorized.

• Permission for receiving a travel advance is obtained by submitting a case to the appropriate individual(s).

• Signing authority is given on the Department/Account.



Module: Expenses Process: Expenses Sub-process ID: BP2 Sub-process: Travel Advance - SMS


Input Process Output **Advances are only in Canadian Dollars.

No Yes Yes No

No

Yes No No Yes Yes

Return to Department for correct info

cheque produced

Record Vendor # on Travel Advance form

Open Control Group in Finance Accounts Payable

Fields Header Panel Line Panel Schedule Payment Vendor # Line Descr Address Invoice Date Speedcode (SC) Invoice # Account Gross Amount Address

Valid SC/Acct?

Get valid data; contact Department

Enter/Edit Items in a voucher

Travel Advance forms received by SMS

Approval OK?

Close Control Group

Data entered in Standalone Database – Travel Advance Sub ledger (See BP16)

New Vendor?

Vendor set up in SMS (See BP14)

Record Voucher# on Claim form

Verify and Set Control Group for posting to GL

Errors?FS to run pay cycle (Mon & Thurs)

Edit/Budget Check /Post (nightly)

SMS to file Travel Advance forms

Run Schedule Due Date Query; correct date on vouchers?

Correct Schedule due date

Run AP Budget Exception Query

Create Encumbrance



Module: Expenses Process: Expenses Sub-process ID: BP3 Sub-process: Travel Expense Claim – Departments (including Visitors)


Input Process Output (In some cases, traveller hands expense receipts or makes a verbal request to Dept secretary to complete travel claim form(s))

No Yes Yes No Yes

Departments: Traveler completes travel claim form and Appendix A as required; attaches receipts/signs form

Travel Expense Claim form is mailed to SMS

Given to Supervisor for one over one approval

Form is reviewed, copied and filed (copy) by the internal control for: signatures, correct GST codes, SC

Sent to Department if funds are coming from another source (i.e. Grants/Awards)

Handed to individual with signing authority on Account.

Multiple funding sources?

Visitors: Central Individual completes travel claim form and has claimant sign (if available)

Does Supervisorhave signing authority?

Travel Expense Claim form is approved

Can individual attest to relevance of research?

Handed to individual who can attest to relevance of research (Appendix A)



Module: Expenses Process: Expenses Sub-process ID: BP4 Sub-process: Travel Expense Claim – With Advance (Zero Dollar

Voucher, No Cheque Produced) – SMS (Page 1 of 2)



No Yes No Yes

SMS receives Travel Expense Claim forms and receipts (Receipts total less than Advance amount)

Log claim with mileage (if applicable)

New Vendor?


Fields Header Panel Line Panel Schedule Payment Vendor # Line Descr Address Invoice Date Speedcode (SC) Invoice # Account Gross Amount GST Amount Address

Receipts total less than advance amount

Record Vendor # on Travel form

Review form; correct GST & information?

Return to Department for appropriate info

Traveler has issued a cheque for the difference between the Advance and the total of the receipts

See page 8 for continuation


SMS completes a deposit form (in duplicate), attaches cheque and sends to Cashier for deposit (see BP15)



Module: Expenses Process: Expenses Sub-process ID: BP4 cont’d Sub-process: Travel Expense Claim – With Advance (Zero Dollar

Voucher, No Cheque Produced) – SMS (Page 2 of 2)



No Yes Yes Yes No No

Valid SC/Acct?


Enter/Edit Items in a voucher (Zero dollar gross amount on Voucher)

Close Control Group

Data entered in Standalone Database – Travel Advance Sub ledger (See BP 16)



Errors?

FS to run pay cycle (Mon & Thurs), however, zero dollar vouchers, due to a customization, are put on hold in order that they not be picked up in the pay cycle run (No cheque is produced)


SMS to file Travel Claim forms




Relieve Encumbrance



Module: Expenses Process: Expenses Sub-process ID: BP5 Sub-process: Travel Expense Claim – With Advance (Cheque Produced)

– SMS (Page 1 of 2)


Input Process Output **Advances are only in paid Canadian Dollars.

No Yes No Yes

SMS receives Travel Expense Claim forms (Receipt total more than Advance amount)


New Vendor?










Module: Expenses Process: Expenses Sub-process ID: BP5 cont’d Sub-process: Travel Expense Claim – With Advance (Cheque Produced)

- SMS (Page 2 of 2)




Valid SC/Acct?



Close Control Group

Data entered in Standalone Database – Travel Advance Sub ledger (See BP 16)



Errors?

FS to run pay cycle (Mon & Thurs)






cheque produced



Module: Expenses Process: Expenses Sub-process ID: BP6 Sub-process: Travel Expense Claim – Without Advance – SMS (Page 1

of 2)



No Yes No Yes No Yes

SMS receives Travel Expense Claim forms


New Vendor?



Send to Financial Services to prepare wire transfer or draft; and for entry into Finance (See BP17)




Pay in CDN or US dollar currency cheque?





Module: Expenses Process: Expenses Sub-process ID: BP6 cont’d Sub-process: Travel Expense Claim – Without Advance – SMS (Page 2

of 2)




cheque produced

Valid SC/Acct?



Close Control Group



Errors?









Module: Expenses Process: Expenses Sub-process ID: BP7 Sub-process: Expense Reimbursement – Departments



Yes No

Individual completes Expense Reimbursement form; attaches receipts/signs form

Expense Reimbursement form is mailed to SMS

Expense Reimbursement form approved?

Form is reviewed, copied and filed (copy) by the internal control

Sent to Department for approval if funds are being split from different sources

Form handed to: 1) Individual with signing

authority on Account; 2) Supervisor for one over one

approval and; 3) Internal control to review

form for signatures, correct GST codes



Module: Expenses Process: Expenses Sub-process ID: BP8 Sub-process: Expense Reimbursements – SMS (Page 1 of 2)



No Yes No Yes

SMS receives Expense Reimbursement Forms

If 1 item is over $1000, approval required by Senior Supply Consultant (SMS)

If the item for approval is equipment, needs to be reported to equipment inventory





New Vendor?


Record Vendor # on claim form




Module: Expenses Process: Expenses Sub-process ID: BP8 cont’d Sub-process: Expense Reimbursements – SMS (Page 2 of 2)




cheque produced

Valid SC/Acct?



Close Control Group

Record Voucher# on claim form


Errors?



SMS to file Expense Reimbursement forms






Module: Expenses Process: Expenses Sub-process ID: BP9 Sub-process: Travel Authorization Payment (TAP) – Departments



Traveler books flight via Carlson; completes TAP form (2 part form)

Form is reviewed, copied and filed (copy) by the internal control; may need to obtain further authorization

Form handed to: 1) Individual with signing authority

on Account; 2) Supervisor for one over one

approval and; 3) Internal control to review form

for signatures, correct GST codes

Original copy of TAP form is mailed to SMS and includes SC and TAP# info given to Carlson



Module: Expenses Process: Expenses Sub-process ID: BP10 Sub-process: Travel Authorization Payment (TAP) – Payment &

Reconciliation – SMS (Page 1 of 2)



Monthly scheduled reminder to prepay Diners by bank transfer by Financial Services

Receive file via e-mail from Carlson

Receive file via e-mail from Diners

Receive Diners statement (hardcopy)

Receive invoices from Carlson (hardcopy)

Reconcile Carlson and Diners files with Diners software; copy and paste to Excel spreadsheet

Pay Diners




Module: Expenses Process: Expenses Sub-process ID: BP10 cont’d Sub-process: Travel Authorization Payment (TAP) – Payment &

Reconciliation – SMS (Page 2 of 2)



No Yes No Yes No Yes

Physically match TAP forms and invoices to statement; match with Excel spreadsheet and balance

TAP form is received and filed by SMS

Contact Department for correct information

Errors?

Copy and paste to GL interface file

Transfer (FTP) file to PeopleSoft GL

SC Errors?

Correct/Edit Budget Exceptions in the GL


Errors?Charges are posted to the GL

Correct Errors



Module: Expenses Process: Expenses Sub-process ID: BP11 Sub-process: Hotel Authorization Payment (HAP) – Departments



HAP form (3 part form) completed by individual arranging for visitor

Department retains one copy of the form

Approved by individual with signing authority on the Account

Original and one copy of HAP form is mailed to Hotel



Module: Expenses Process: Expenses Sub-process ID: BP12 Sub-process: Hotel Authorization Payment (HAP) – SMS (Page 1 of 2)



No Yes

Invoice/HAP form received from Hotel by SMS


New ‘Hotel’

Vendor?


Record Vendor # on Invoice/HAP form




Module: Expenses Process: Expenses Sub-process ID: BP12 cont’d Sub-process: Hotel Authorization Payment (HAP) – SMS (Page 2 of 2)




cheque produced to Hotel

Valid SC/Acct?



Close Control Group

Record Voucher# on Invoice/HAP form


Errors?


Edit/Budget Check/Post (nightly)

SMS to file Invoice/HAP forms






Module: Expenses Process: Expenses Sub-process ID: BP13 Sub-process: Travel Advance Reconciliation


Input Process Output (No formalized procedure in place for Advance collection. Reminders sent by e-mail notifying claimants of outstanding funds)

No Yes

Create month end report from Travel Advance Sub Ledger system

Create cover sheet (Excel):

-Opening balance -Current month’s activity AP -Current month’s activity Cash

Run AP Query FS_AP_EX_ADVANCES_BY_VNDR

Run Cash Query FS_CSH_CAT_0403_TRAVEL_REPAY

Total matches Trial Balance for AR account?

2 query reports are verified line by line with Sub ledger System report

Journal Vouchers/Corrections are made as required

Filed for reference



Module: Expenses Process: Expenses Sub-process ID: BP14 Sub-process: Vendor Set Up in SMS



Yes Or No

SMS receives Advance/Claim forms from Departments

Inquire (search) in OASIS/PICES database for employee/student ID#

Does Vendor already exist in Finance?

Record Vendor# on the form and return to clerk for data entry

Update Vendor information; revise or add an address

Does the Vendor ID exist in

Accounts Payable under a different name? (i.e. name

NoAdd Vendor information (with EmplID if applicable or “NEXT” available number) Name/Address/ Phone Number/Payment Terms

Record Vendor# on the form

Return to Clerk for data entry

Make necessary corrections (i.e. update Vendor information)

Yes



Module: Expenses Process: Expenses Sub-process ID: BP15 Sub-process: Depositing Cheques When Expense is Less Than

Advance - Cashier



No Yes Yes No

Cashier receives cheques sent from SMS

Cheque information added into the Cashier System by SC, Account and Ledger Description (i.e. to aid in Advance Reconciliation)

Upload files to PeopleSoft GL tables (process in Cashier system)

Cashier extracts (selects) various cash reports to post to GL (Departmental Deposits for cheques)


Run Budget Exception Query

Correct Budget Exceptions

Errors?


Deposits are posted to the GL

Valid SC/Acct?

Get valid data; contact SMS



Module: Expenses Process: Expenses Sub-process ID: BP16 Sub-process: Travel Advance Sub-Ledger System (Standalone) – SMS



SMS receives Travel Advance forms from Department

Enter Advance information (i.e. Name, Department, Destination, Return Date and Amount) into Sub-ledger

SMS receives Travel Claim forms from Department

Update Advance information by entering the advance number. If advance is used entirely, amount is changed to zero. If only a portion of the advance is used, the amount is changed to the unused balance. (File copy is pulled and attached to claim)

Print report listing of Advances Outstanding (at month end)

Record the Advance number (assigned by system) on a copy of the advance form; retain copy until claim is received

Remove all advances with zero balances (process done in standalone at month end)

The Sub-ledger is a DBase 3.3 Dos system



Module: Expenses Process: Expenses Sub-process ID: BP17 Sub-process: Travel Claims (Foreign Currency) – Payment by Wire

Transfer or Bank Draft – Financial Services (Page 1 of 2)

Frequency: Daily Weekly Monthly Annually Ad-hoc Version: 7.5 Input Process Output

Yes No No

Travel Expense Claim from SMS (vendor has been setup in Finance)

To be paid by bank draft

Vendor information (i.e. name, address, amount, vendor number, claim information) entered into Bank of America software product to produce foreign currency draft (entered by Cheque Production)

Print foreign currency draft

Vendor information (i.e. name, address, amount) entered into Esquire (program from the Bank of Montreal to ensure validity of payment) for a wire transfer (must be approved by Assoc Dir/Treasurer) –(entered by Treasury)

Vendor information (i.e. name, address and amount) and banking information faxed to the Bank of Montreal (duly authorized) instructing them to initial wire transfer (initiated by Cheque Production)

Payment to Bank of America for sum of all drafts by bank transfer (daily)

Fax (duly authorized) is sent to Bank of Montreal to transfer funds to Bank of America (for total of day’s drafts)

File is received by Bank of Montreal to make wire transfer(s)

Payment is made to vendor by the Bank of Montreal via wire transfer

Payment is made to vendor by the Bank of Montreal via wire transfer

To be paid by wire transfer; foreign or Cdn / US currency

Wire transfer foreign currency

(Payment to Bank of Montreal for these transactions is done by transferring funds between bank accounts)




Module: Expenses Process: Approval Sub-process ID: BP17 cont’d Sub-process: Travel Claims (Foreign Currency) – Payment by Wire

Transfer or Bank Draft – Financial Services (Page 2 of 2)


Input Process Output (Keyed into Finance by Cheque Production)

Yes No Yes No

Bank draft(s) or wire transfer(s) have been processed



Enter/Edit Items in a voucher (as zero dollar vouchers)


Valid SC/Acct?


Close Control Group



Errors?Charges posted to GL

Edit/Budget Check/Post (nightly)



Module: Expenses Process: Expenses Sub-process ID: BP18 Sub-process: How Accounting Entries are Created in AP Module

(Finance) for Advances

Frequency: Daily Weekly Monthly Annually Ad-hoc Version: 7.5 Data Entry Payment of Travel Advance Advance Debit Advance Credit Vouchers Payable Debit Vouchers Payable Credit Bank Account Account with Account with Dept SC Account with Dept SC with Dept SC Dept SC (100701) <1000.00> (200001) $1000.00 (200001) <1000.00> (100101) e.g. $1000.00 Data Entry Claim Deposit Cheque (Receipts total is less than Advance amount) (Zero $ Voucher) Credit Advance Debit Cash Account Debit Expense Credit Advance Account Account with (SC – 10481) (Acct – 100101) Account(s) with with Dept SC (100701) Dept SC (100701) 300.00 Dept SC (503XXX) <700.00> <300.00> $700.00 Data Entry Claim Payment of Claim (Receipts total is more than Advance amount) (Regular Voucher) Debit Vouchers Payable Credit Bank Debit Expense Credit Advance Account Credit Vouchers Payable Account with Dept SC Account with Account(s) with with Dept SC (100701) Account with Dept SC (200001) 200.00 Dept SC Dept SC (503XXX) <1000.00> (200001) <200.00> (100101) <200.00>



Module: Expenses Process: Expenses Sub-process ID: BP19 Sub-process: Accounting Entries Created in AP Module (Finance) for

Payments by Wire Transfer (T Accounts)


Wire Transfer initiated by Treasury (Esquire): Debit Expense Credit Vouchers Payable Debit Vouchers Payable Credit Bank Account (US or CDN) Account with Account with Dept SC Account with Dept SC with Dept SC Dept SC (503XXX) (200001) (200001) (US 100113/CDN 100101)

Wire Transfer initiated by Cheque Production (fax to bank): Debit Expense Credit Vouchers Payable Debit Vouchers Payable Credit Bank Account (Foreign) Account with Account with Dept SC Account with Dept SC with Dept SC Dept SC (200001) (200001) (100153) (503XXX)

Bank Draft produced Bank of America system (Cheque Production): Debit Expense Credit Vouchers Payable Debit Vouchers Payable Credit Bank Account (Canadian) Account with Account with Dept SC Account with Dept SC with Dept SC Dept SC (503XXX) (200001) (200001) (100101)

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Business Process MaPping